1. Auditors may add an emphasis-of-matter paragraph that refers to a matter that is presented or disclosed. 2. A going concern is to be evaluated for a period not to exceed beyond the date of the financial statements. 3. If substantial doubt about a going concern exists, an paragraph is the most common resolution. 4. An emphasis-of-matter paragraph always the opinion paragraph. 5. Changes in accounting estimates result in an explanatory paragraph.

Which of the following statements is true regarding the definition of a fund? a fund is a fiscal entity which is designed to provide reporting that demonstrates conformance with finance-related legal and contractual provisions separately from gaap reporting. a fund exists to assist in carrying on activities and attaining objectives where there are no specific rules or restrictions. a fund is an accounting entity which is designed to enable reporting in conformity with gaap without being restricted by legal or contractual provisions. a fund is a mechanism developed to provide accounting for revenues and expenditures that are subject to certain restrictions separate from revenues and expenditures that are not subject to restrictions.

Which feature is a characteristic of a corporation?

An electronics store is running a promotion where for every video game purchased, the customer receives a coupon upon checkout to purchase a second game at a 50% discount. the coupons expire in one year. the store normally recognized a gross profit margin of 40% of the selling price on video games. how would the store account for a purchase using the discount coupon?